Traditional Lenders Mortgage Insurance products

Allowing more people to enter the housing market and accumulate wealth through property

Genworth endeavours to be flexible and commercial in its approach to underwriting risk – insuring loans for a range of purposes including home ownership, investment and vacant land.

We have a number of traditional Lenders Mortgage Insurance (LMI) products to allow more people to enter the housing market and accumulate wealth through property, while at the same time providing lenders with the benefits of 100 per cent LMI cover.

Genworth’s current range of traditional LMI products is as follows:

 

Standard Upfront LMI

Available for a wide range of home buyers, including first home buyers and investors wishing to access residential mortgage finance. 

Key features and benefits:

  • Allows home buyers to purchase their property with only a five per cent deposit
  • Loan terms of up to 40 years are available, which assists in lowering repayments
  • Premium discounts may be available for first home buyers
  • Capitalisation of LMI premium available.

Click here to find out more on facts and frequently asked questions about LMI

 

Family Assistance

Available for a wide range of home buyers, including first home buyers and investors. Family Assistance provides assistance to home buyers who are seeking support from family members to purchase their home. The cost of LMI is reduced by 15% where it is paid for up front by family members and not capitalised into the loan.

Key features and benefits:

  • Available for owner occupied and investors
  • Allows home buyer to buy a property sooner, with a reduced LMI cost if paid for up front by family members
  • No maximum number of times a family member can use Family Assistance to assist children and/or family members
  • Available on our Standard and Homebuyer Plus products

Download family assistance FAQs

 

Monthly Premium LMI

Available for a wide range of home buyers, including first home buyers and investors. Monthly Premium LMI is a pay by the month product that is an alternative to the once off cost of Upfront Premium LMI and means home buyers don’t have to save this additional amount before buying a home.

Key features and benefits:

  • Allows home buyers to buy a property sooner, without having to save for a once off LMI premium
  • Borrow up to a maximum of 95 per cent of the market value of the property
  • Allows a greater portion of the deposit to be used to support the purchase of the property
  • Offers a more cost effective LMI solution if the loan is paid down sooner or if the home buyer switches home loan providers.

Click here to understand Monthly Premium Lenders Mortgage Insurance (LMI)

 

HomeBuyer Plus

Available for home buyers, including first home buyers, wishing to purchase or construct an owner-occupied property with limited or no savings, or those wishing to use money not sourced from their own savings as a deposit.

Key features and benefits:

  • Deposit may include a family gift or a First Home Owners Grant
  • Capitalisation of LMI premium available
  • Premium discounts may be available for first home buyers
  • Loan terms of up to 40 years are available.

 

Business Select

Available for self-employed home buyers who have only limited current financial information or documentation available.

Key features and benefits:

  • Allows home buyers to purchase their property with limited evidence of income
  • Capitalisation of LMI premium available
  • Available for a wide range of purposes including home improvements, bridging finance, vacant land, and construction.

 

Variations on traditional LMI

Micro markets LMI

  • LMI offering for lenders seeking cover on loans relating to residential properties located in higher risk market segments.

Risk share including quota share and top cover

  • Loan level losses are in effect shared between the lender and Genworth
  • Structured so that the lender customer can take the first loss, second loss or shared loss position
  • Designed to protect lender customers in a mild or moderate stress environment.

Limited cover including fixed term and fixed LVR cover

  • Provides cover for the period in which the home buyer has the highest propensity to default
  • Cover can be limited by time or by LVR
  • Enables lender customers to manage loss volatility in a benign or mild stress environment.

 

Need further information?

If you would like more information on any of these products, please contact your Genworth Corporate Partnership Manager or contact us on 1300 655 422 or infoau@genworth.com

Related documents and information

What is Monthly Premium LMI?

Click here to view our Monthly Premium LMI Fact Sheet for Borrowers

LMI comparison guide

Click here to see the difference between our LMI product options